ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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Effects of Price Increase and Wage Rise on Resource Diversification in Agriculture

A price increase and improvement in the terms of trade of agriculture after 2004-05 have revived agriculture in Uttar Pradesh. The performance, however, has varied across regions within the state and among crop groups. Price policies in favour of cereals discourage land diversification, but rising agricultural wages induce shifts in favour of high-value crops. The growth momentum has to be sustained by price reforms and by promoting a set of non-price factors that encourages resource diversification towards high-value crops.

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